]]>Tone’s MA #72 – Get Ready for Bitcoin Aug Splithttp://howtoearnbitcoins.com/tones-ma-72-get-ready-for-bitcoin-aug-split/
Sun, 16 Jul 2017 18:58:44 +0000http://howtoearnbitcoins.com/tones-ma-72-get-ready-for-bitcoin-aug-split/
hello everyone welcome to another edition of tones market analysis for Wednesday July 12 as you can see I’m still in support of the user activated so fork and I’m still expecting everything everything to go everything’s a go for this first we’re getting ready all right let me share a screen my website is finally up to date I finally released this article so if you do not follow me on Twitter make sure you go to Liberty Life trail and read this article I actually have no idea how many people read this article because um I don’t have like a view counter like I don’t have any metrics like I don’t do analytics like I don’t care guys I’m I I just find the time to get out content and I don’t worry about you know my popularity or how many people actually see the article so I should I recommend you read this and I will get back to it later in the show um also I’ve decided to go up to Montreal tomorrow there was a user activated soft fork understanding and prepare event it’s a meetup in Montreal it should be great so I will be heading out there this event will be live-streamed I might be one of the live streamers right on this channel there’s gonna be a dedicated I I think a Bitcoin embassy out of Montreal they’re gonna livestream it as well so there’ll be several livestream so watch out for that that’s gonna take place tomorrow also on my agenda for tonight I’m gonna head back to my cabin so I have between midnight tonight and about 9 a.m. tomorrow morning to finish setting up my my a blonde minor I already created an account on slush pool I’m gonna set that sucker up I have all night to do it i will get that sucker going i’m gonna put it on slush pool i’m gonna point it to a bit 148 i’m gonna get it done i did a bunch of more research as you can see I have like my my back and forth with cam and support and I have like all of their other articles and a lot of their I mean like look this stuff isn’t it wasn’t that easy for me right like it wasn’t even that easy for me to set up the node and get poured eight three three three open so I have to finish the job I have to get the miner up and running so I’m gonna do that quick calendar update I’m obviously not in London this week but I will be in LA I have my ticket to LA I don’t have my ticket coming home I might go to San Francisco I have no idea what my plans are but I will be speaking in LA on July 22nd and after that I’ll try and go to San Francisco and maybe attend the San Francisco meetup on the 25th and there’s some kind of an event on the 27th I don’t know but I’ll look into it all right and if you are in Montreal I definitely come out come out tomorrow night if there isn’t too much traffic and I don’t get detained at the border for one reason or another I do plan to drive two months for y’all it’s about like a 7 8 hour drive from you or something so I’ll Drive into Montreal Thursday I’m gonna try and be there like an hour ahead attend the the Meetup I’ll try and find some energy to go out and the next morning drive back into the US okay so that’s so you can imagine how busy I am alright let’s go into the markets I’m already like five minutes in okay here’s the daily version of the stock market and look I’ve just been copying and pasting this whole thing through right this is why buy and hold it does extremely well unless you’re babysitting the market or an asset where you can’t sell on this dip and then buy off the dip right you can like sell on this and buy on that so notice the big difference here right I said I said a year ago this while all these gloom and doom websites right whether it’s Zero Hedge whether it’s you know everybody and their mother that is selling newsletters they’re always telling you that the stock market is all time high and it’s getting ready to collapse okay here’s what I mean go back to my videos go back to my videos from last year I think I started this channel in October I think my channel started in October okay look big yellow box cannot be all-time high too many exits cannot be all-time high too many exits we go higher ha look I don’t have it here right so I should probably add this in here let me look let me put a lame put a circle in here very hindsight but it’s a different kind of hindsight you know what I don’t need that right for a big circle in here oh not exactly how I plan to draw a circle but if this more real now okay so I can put a circle in here and then I can do one of these right so I’m gonna say this can be all-time high because you only had one Baker exit alright order is gonna do red a very light a lighter okay so this is how you supposed to read the market guys something like this could have been an all-time high okay it could have been but uh you had one more shot than it came up a little bit short little bit short okay so you still could have it still could have been and then I had this yellow line here for falls below the yellow line boom you’re looking at a monster pull back to the 200-day moving average than that the 50-day has been bouncing you pretty well okay let me zoom in a little bit all right before we get to today okay probably make this thing a little smaller for future reference there you go okay and then we’re back boom cannot be all-time high again once we get into this box done we’re going higher there we go we’re back in the box and look what’s going on I can just keep extending this box right we fell out of the box for one day back in the box huge gap into today and boom okay this arrow still holds I can move the text over a little bit so with it’s more in the middle on and we’re gonna go higher okay let me throw the numerix on here III also loved it that this possible all-time high came on a nine came on a nine a nine is a sell signal right there came on a nine sell and more reason to think it might be the all-time high and here we are again right we’re flip-flopping back and forth so if you were trading this particular indicator you would have been in cash this entire time like since well like you would have been bullish right here on the two you would have gone long here and you would have stayed long until this red candle where you go back to cash you could have gone short on this candle right here this guy but then the next day you’re back in cash and again here and now you’re in cash color flips you’re in cash like complete indecision like I wouldn’t even touch it like you wait till it gets out of the box but every time it gets out of the box boom it takes off so if the if this is if tomorrow is a new all-time high for the SNP five droid man I would be very very bullish and let’s see how bullish I would be I would be bullish right into this red line I mean not in one day obviously that would be insane but we go up okay all right I’ll move on let me close let me save these clothes I didn’t do anything to it all right gold here’s the daily gold chart and it looks bad it looks like it just still looks bad right you just made a lower low no clear divergence in the indicators at all so there’s really there’s nothing to clink – absolutely nothing this may be the the bear market low but it’s too early to tell again right it’s once again is terribly to tell because if we go below this low for go below like the 1180 low it I mean did this slow isn’t gonna do anything I mean once we go below this major low I it’s all she wrote I mean we’re gonna go back down let me just zoom in see what’s going on on the daily you know if I’m gonna submit let me draw off the indicators let me throw these guys in right so you see this nine right here I’m pretty sure on my last video this nine was already there and I would have said get ready for a 1 to 4 candle bounce so this is perfect right we have 1 2 there’s no re-entry – you’re sure this arrow keeps getting away I keep moving around but it’s always like no matter where I put it it’s always in the way get ready for a 1 to 4 candle bounce and then we’re going lower also this 13 count on the bottom hasn’t made it to 13 we’re only on an 8 so we’re still waiting for this 9 to finish it’s bear trend we now have another 9 that can potentially start a whole new 13 count – the bear side this 9 created a 1 to 3 of the 4 candle dead cat bounce and this 9 is making a 1 and now a 2 and then maybe a 3 and then probably go back down because now you’re even below the 200-day moving average you bounce back up there’s a Fibonacci here right now there’s too much resistance um I don’t think Gold’s going anywhere here is the weekly chart on a long term from the all-time high this trendline is significant and your only hope is the bottom of this green one and if it boils into a point into the end of the year there could be a monster crash in early 2018 causing what I mean there are things called the wolf wave Martin Armstrong calls it a slingshot but I like there’s multiple ways to call it but here is the perfect scenario for gold okay I’m gonna refer to it what Martin Armstrong calls it which is a slingshot if gold continues to bounce between these two trend lines and comes to a point ideally a gold would crash out of this symmetric triangle and it would like crash real quickly to about here to about the 800 somewhere between you know 750 and like 850 I you know this Fibonacci line would be nice right just I completely flash while I complete crash but not like a flash crash light like one bad tick I mean like like a really bad week where like people are almost out in the streets screaming manipulation screaming you know government did this you know someone throws a lawsuit at Peter Schiff and some of the other gold sellers a lot like like like really really bad for just a few weeks to a month right like it would be um like I already have a stock market closed like I wouldn’t even know I like basically the opposite of this right so how many weeks did this take this was July to September right so two months two months so in these two months a gold went from what do we got here 1500 to 1900 right so that was a $400 up moving gold right so if we get something similar like what’s the difference between here and here right we got ten thousand forty four and the height is like fourteen hundred so perfect like a four hundred dollar move right so if gold reaches near this point so we’re sitting at let’s say let’s say 1200 right and then BOOM Gold Falls 400 bucks over the next two to three months like a horrible two to three months in 2018 dropping the price of gold into the eight to nine hundred range so let’s say this for Bonacci this would create such a discouragement for anyone holding gold and right there’ll be no more sellers of gold like he’ll be like done like like people’s mentality would be like done and then it reverses and goes to 3,000 okay over the next you know few like a year or two so that is really what I’m kind of looking for I’m looking for just a complete like crash setting up an environment where people hate gold so much they don’t trust the fact that it will ever go back up and then it goes back up and makes new all-time highs and this is what I’m washing for which is why I would not touch gold to the upside now I would wait another six months to a year and then they’ll be like you know the Europe the European Union will like fall apart and there’ll be other problems and maybe God knows what right maybe they’ll find a way to impeach impeach Trump and you know everyone will get scared like I don’t know what the reasons are like there could be many reasons right but I’m still looking for like a complete like dismantling of gold setting up an environment for it to go up all right let’s close gold oh wait that’s not close let me just let me just glance at the at my numerix I know I spent too much time on gold but you know some people like look there’s a lot of gold bugs that are still watching me right alright so the weekly gold is still in a bearish trade this bearish trade would have been executed right here at 12:50 and right now we’re at a facility so this trade is still a go so the daily chart is in a one to four day dead can’t bounce but the weekly chart is still you know stuck here so I this is a five a five is actually a fairly important number because it sets up a nine and so let’s see if we can get on next week is a safe and then we’re looking for our 9 I’m the bear side we never made it to a 9 here 7/8 and then it was done just missed it by one week haven’t had nines here in a while there was a nine cell on the bull trade this bull trade would have been entered right here on the three or the four all right I don’t want to dig into it and then it would have been take your profit prime and then like another bullish trade would have been done right here on this candle and then you would have taken you are made it to an a it almost made it to a nine but once you have an eighth the next day’s either going to be go to cash or if they profit right so either way it’s a bigger profit so there were numerous bullish trades and then this bearish trade would have worked out nice you would have exited right here and this nine would have been a sell setting up you know a couple of days pullback and higher higher didn’t hold and now we’re going lower but you still have this 13 count on the bottom anyway like this indicator does occasionally contradict itself so you got to be you gotta really know what you’re doing but there’s books on this so all right let’s all close it nothing to say about oil it’s in my channel and it’s staying in my channel so I’m not gonna spend any more time I’m bearish oil clearly from all the red that you see here uh the Euro I’m temporarily bullish until it reaches a point this is probably one Gold will hit its low also and on like an early 2000 this is a weekly chart right so maybe not her I mean that’s good last longer than I expect this could be like this you know I don’t know I didn’t expect the Euro to survive into 2018 but you know what my timing is occasionally off so I am looking for more short-term upside in the Euro before I complete the baccala over there okay I’m at 320 live viewers that’s pretty good man wish I can get back to 700 so here’s the coin this is a time where I thank everyone for your donations though I believe there was only like one I also thank my private clients and consulting they’re actually haven’t been any since my last video which is why there’s not going to be much you know Manero or I’m debating if I’m gonna do white coin or not I usually do these things once there are private clients asking me about it and I set up the charts though I hole litecoin so I should talk about litecoin now that it has been coming in and donations yeah if you like coin donations can have come in but that’s okay I don’t work for donations guys I’m uh I enjoy doing these videos like I said in Prior videos here’s the long-term chart of Bitcoin and markup Ellis has admitted that they ran the woolly bath you know causing a lot of this mess this year and a half bear market you know with because of the woolly bot Bitcoin was never supposed to be a thousand dollars back in 2013 it probably screwed up a lot of people me included and you know is there through a reason why I don’t have as much Bitcoin today as I could have had because of this environment right here so it’s unfortunate right manipulation happens everywhere and we deal with it so I don’t believe Bitcoin is in a bubble because it has only gone up to X meanwhile you know scams like aetherium has gone up like 20x right and some of the other ones that are even worse so let’s zoom in here on the weekly candles there’s really not much else to say no nothing really any indicators though they are still fairly elevated and there could be more downside I mean we don’t know that this segment works environment is very tricky I mean the no one really knows so I already have people helping me fix this indicator um so this is somebody else somebody else’s edits to my code I haven’t seen too many differences you know I haven’t dug into the code but you can see that this arrow is red instead of green telling you that it’s time you know get out of your bullish trade so I like that we got to make this one also like the opposite as well like a red arrow so I am working with a few developers to help you fix my code to get it you know perfect so what’s going on here so you didn’t have a bullish trade that started here that should have exited you here taking the rest of your position into cash here your short trade on Bitcoin to those with the cojones to go short I sure in hell never would I would never short Bitcoin I would never sure any old coin or crypto it’s just too dangerous they can go up you know 20x they can’t go down 20x they can only go down 1x right so so so right here so the low of the scandal the law of the scandal mark number two was 2462 so on Monday when this candle number three started trading below this purple line which is at that number right there two four six two according to this indicator Bitcoin became a short play and let’s see how this weekend if this week comes back and closes above the green line see this green line right here if a close above the green line this will become a positive one this will become a green one and everything goes back to cash okay but for now the weekly chart is still showing you short because you were supposed to get a one to four week pullback one to four candle pullback and then you’re supposed to go up so this week is supposed to be enough week but it was a down week so this indicator is telling you that there could be lots and lots of more downside and it’s like with two acts will be responsible for that by the way I have no doubt in my mind all right here is the zoomed out view using the brave new coin liquid index and it’s worrisome it looks a little scary because you have no support you have absolutely no support anywhere here there is my other chart will have a little bit of support between like 1800 and like 2000 but in reality your support is here like you after you broke out above the red line you never really tested that red line so I’m going to take another red line here so somewhere between these two red lines is where your actual support lies so if we start to go down that is where you should go down this is why it wasn’t the best thing in the world for the price to get so high you kind of wanted to get to about here like 1800 2000 and then pull back and test what at least one of these red lines and then go up to go higher when you go up uncontrollably uncontrollably it creates this bubble ish situation that can cause it to go down I don’t believe that it will ever go down below this line but it depends right if they’re big blockers and the hard fort gets momentum anything can happen right anything can happen when you have a bunch of clowns that aren’t the don’t belong you’re a computer programming Bitcoin code I I have a problem with that right so let’s zoom in on the daily here so you had this triple cup and handle and then there was one more cup that was even higher and now we broke this line which is kind of scary it’s it’s not where you want to be you definitely I want to be there for too long so let’s zoom in so so here are my support points and I believe I tweeted this out I tweeted this out right here so here are all of your support points and this one being the most critical and the strongest of them all right so it did we make it to the Green Line and did we make it to the purple or to the purple and blue lines right so let’s go back and glance so we did like the Green Line bounced at once and then it fell through it the blue bounce that a couple of times but now it’s gonna need with the purple okay so our counts I mean the triangle broke out so there was a bullish trade here both off the triangle and off the numerical but then battle fell apart right here this orange one at the 50-day moving average held it for a minute and then there was actually a short trade on the bottom of this too and a second chance to do it on this four and now that both the weekly and the daily are still in the short trade don’t I I wouldn’t get all bullish just yet right because now you have resistance this yellow line is resistance this 50-day moving average is resistance I mean it’s nice that today’s candle is now above the previous candle and the previous candle does have hammer qualities and doji qualities not exactly either of them but has their qualities like it’s good but I would not I would not put on a bullish trade on Bitcoin right here to me these indicators were now below the triangle we’re below the 50-day and the numerical indicator is on a red six telling you that your trade that was entered on to or on four should still be a short trade so it’s nice that we’re bouncing off support but in no way am i bullish Bitcoin off of today’s price action I am still leaning bearish here over bullish or in cash because not everyone wants to short Bitcoin so even though today is a nice day I am not calling for for a buy here but by any means it was easier to call you know Bitcoin a buy in this area here than it is to call Bitcoin a buy in this area here because we’re just so much higher which is so much higher like calling for a perfect buy right here look I called for a perfect buy at 760 right here and that I called for a perfect buy at 950 right here I’m not gonna call for a perfect buy here because if I’m wrong we’re gonna go down to 1300 well this I will call a perfect buy I mean you can risk it and buy at 18 but for me the perfect Bitcoin buy would be around 1250 somewhere between 12 and 13 I think it’s crazy to call for a Bitcoin buy right here it’s a it’s also a dangerous short so even though all of my technical analysis is telling me that if I ignored the fact that it’s Bitcoin I should be in a short trade above daily and weekly I don’t care about the hourly it’s nice that we’ve gone above this high and this is this W pattern which is known so if it holds true you’re looking at the difference between two two two three on BitFenix and looks like about a hundred and fifty bucks right so we had a hundred and fifty dollar gain now if we do go up a hundred and fifty bucks from here that may put us above this Green Line which will then put the weekly chart into neutral it will certainly throw the daily chart on into neutral and then we can talk about you know a bullish trade the next day or the next week but right now I I’m not bullish Bitcoin right now I’m sorry guys a light coin however looks good litecoin versus Bitcoin looks bullish look you have a green candle weekly candle of light Cohen versus Bitcoin that has opened and is starting to close above the previous closing highs so light going against Bitcoin is in a much better shape and then Bitcoin is against the US dollar you’re now on a green five telling you that this trade-off of this two candle is in the green and you should hold it and wait for a nine in order to potentially create your profit from this trade so and you still have this one two three four over thirteen count from this nine and this nine should have called for a one two three and for Kendall pullback which is exactly what it did and on the fifth candle was started to go up showing you that this nine did not lead to a complete reversal from bullish trying to bearish trend but it just took a break before resuming the the trend of the nine so litecoin looks very good against Bitcoin on the weekly chart let’s look at the daily chart after forming this cup and handle and the breakout hasn’t yet occurred it’s been choppy it this trade did tell you to go along right here on the three and it made it to an eight and then the next day was a one so somewhere on this one you were supposed to go to cash but it was still a very profitable trade of white corn versus Bitcoin and then it’s been choppy so this too did not tell you to go short this three actually did tell you to go short litecoin versus Bitcoin but then the next day it went back to cash so this would have been you know a very small stop-loss and now we’re back to a green candle that color keeps flipping so your daily light core versus Bitcoin position should be in cash and check out last night’s video when I talked about this nine and this nine basically this indicator called both points of the big cup so it was really good okay and here’s like coin versus the dollar again I don’t really care for this I don’t really care about hourly charts right now only because like there’s such big events going on that it doesn’t really matter okay so I’ve already gone for 30 minutes I believe rich is here to help me with QA so rich start putting the other questions I’m gonna do my little commentary and then we can we can go to your Q&A I don’t forget if you are 400 viewers I will be driving up to Montreal Thursday morning I will be attending this event in Montreal sponsored or hosted by the coin embassy this event will be live streamed I might do it and somebody else might do it so it’s a preparation for the user so forth I think the cement is very important that’s why I’m willing to drive from New York City all the way to Montreal okay so hopefully I’ll see some of you there I know some of the people watching even right now are from that area all right let me talk about this so I wrote this article on my website yesterday yeah well let me tell you why I don’t write articles guys this article took me half a day I started writing it or about 10:00 10:30 a.m. and I finished writing it at about like 3 or 4 p.m. I am a very slow writer I have to proofread it like 5 times and I bet you there’s still like a dozen plus spelling mistakes and grammar mistakes and and I’m very detailed all of these links are very very good so you really do want to read some of these links through and I specifically made this entire blog post about why August 11th is so important to me okay this was a date I wrote about in 2014 that August 11th will be one of the most important days in the life of Bitcoin I wrote it in 2014 I didn’t think anything of it and now it’s becoming serious okay so unfortunately then line up with August 1st that would have been amazing I think I would have really been known as the Nostradamus of Bitcoin predicting that August 1st was gonna be the most important day of bitcoins life three years but predicting you know August 11th which is ten days off I think it’s pretty damn good so so let’s see what happens okay let see what happens I don’t know what’s gonna happen on this day maybe it’s nothing right and in my here and in this article I talked about you know what I think can happen initially what I thought would happen was price was gonna rally into my day and then we would fall after that day but clearly the price fell earlier so can the price crash into August 11th can segue to X completely screw everything up and crash the price down to 1200 into August 11th of course it can and I would be a big buyer then the other situation is that this date has nothing to do with price because this is a data analysis this analysis is independent of price sometimes it coincides with the price and sometimes it does not and hopefully oh nothing has to happen that day but I really like how these events are surrounding this they are so important my previous day was June 16 and that surrounded the entire Greek banking shutdown so I give you a you know here’s a an article Bitcoin surges as Greg said worries mild that came out on June 16th itself the Greek banks shut down on Sunday and they did not open on Monday they announced it on Sunday on June 28 that the banking system is gonna shut down so once again I was about 10 days off from a very very critical day in the life of Bitcoin I still think this point in time changed the bearish trend of Bitcoin to the to a bullish trend and it got on a global radar once again sometimes these days and I use this analysis from Martin Armstrong’s work so you can read more about it here in my intro and I I always remember February 27th 2007 and let me click on this so this was one of the days that Martin Armstrong had on his list of you know critical days I the February 27th 2007 I mean I wasn’t reading moron from back then in fact in 2007 he was still in prison okay and he went to prison in 1999 so here’s his date um let me see where’s the here it is so so this date mm 7.15 or february 27 2007 and you can see it like right here this was in his writing long before he went to prison back in 1999 and you can read more about his history and stuff and this was actually my second day of work at Bear Stearns so I got I got hired by Bear Stearns is my first financial job and my first day at work was February 26th 2007 the this is my second day at work became known at my job because I had to build a stress test as a risk analyst to stress future models my second day at work I named that day the Shanghai surprise my second day at work the Dow Jones fell 400 points on that day February 27 2007 it was one it was the biggest one-day crash since the 1987 crash I think um it was something bad or like since the 2000 crash it was like a really bad day and it was like panic in the market and that was my second day on the job in finance and that was the day I was dealing with and then later when I when I started reading more on Armstrong’s work probably in like starting 2012 or something like that or 2013 maybe 2011 I remember I ran across that this was one of his days that he predicted long ago and I’m like wow because I clearly remember this day as my second day on the job dealing with a big market fallout so ever since then I really liked his work and that’s why I applied his work to this time analysis here to come up with August 11th and so let’s see what happens all right so quick comments on I think I can just stop sharing camera at this point oh no one more thing so I am really really getting frustrated with second with 2x bullshit and it’s getting starting to be beyond bullshit like like bullshit is and not having a good way to say so not a single developer on this list supports the seg with talks idea and there are these complete fools on Twitter and YouTube and all of the other social media that are commenting at me if only core would support a block size increase everything would go smoothly like I don’t understand like how stupid a person has to be to say that IIIi don’t understand how stupid a person has to be every core developer is telling you that in their financial expertise it’s a bad idea it’s like you had a nuclear and some fool on Twitter comes in and says um can we throw you know this new this mixture of uranium and plutonium into this nuclear reactor it might be better and then you have you know a hundred new scientists telling you no that’s a bad idea and some are even laughing at you and then these fools are standing there going well if only you supported this idea it would work like like like I hate using the word retarded but these people like have to be retarded at this point right like when you have a hundred experts telling you this is a bad idea and you’re sitting there telling them if only they supported it well like what the hell like what the hell all right it’s here’s the other problem if these guys came out and supported right now I would want all of them fire I would want greg maxwell fired i would want eric Lombroso fired I would not want any of these guys to touch Bitcoin code again if they’re gonna go against their ethics if they’re gonna go against what they know has come scientists is wrong and they compromised on what they know is wrong I don’t want these guys programming Bitcoin code I don’t know who I would one program in Bitcoin code I would want either someone like new people coming in I would I would I would actually call up the Federal Reserve and I would ask him to bring in their developers at this point right because I would trust the Federal Reserve’s computer science department better than the people programming side which works better than the people programming Bitcoin unlimited and if these guys give up on their principles and – we’ll have the Federal Reserve Program Bitcoin at least I’ll know what the inflation rate is at that point so so so this is completely ridiculous okay meanwhile everyone seems to think that it’s OK to go against users and to go against the core developers in hard-working Bitcoin you know what hard for Bitcoin make it you’re damned old coin and go go your own way go hard for you ok anyone competent is gonna be running the user activated soft work they’re gonna be running BIP 1:48 we’re gonna get seg with by August 11th and we’ll have one chain and if those idiots want to go hard forth to two megabytes go hard for it – two megabytes all right like this is insane um oh I forgot where I saved that chart hold on a second here it is so I pulled this up the other day I forgot who made this it might have been bitfury I don’t know but here this is how insane this is okay this tells you what the Layton sees there are so many problems I mean forget the fact that the community will split with with the block size increase just look at this this is the reason why it was lowered in the first place block verification time okay look right now it takes point 15 seconds to verify a block okay look what happens if a block is 32 megabytes it will take almost seven seconds to validate a block that means the miner that built that block has now a seven second advantage on finding the next block that is important look how fast you are freaking blockchain is growing under a larger block size this is insane this is insane you don’t hard work you leave it at one megabyte until you have absolutely no choice and your group of 100 top core developers are now saying that you know what maybe now the risk of of a two megabyte hard work or maybe a 1.5 megabyte hard fork maybe right now the risks are worth it but right now the risks aren’t even working worth it to consider the situation to consider the situation okay and also look we have way more people preferring the user activated software I mean look at this look at this okay we’re getting there guys we’re getting there we’re almost there look at all of these companies that are preferring the the user activated soft fork just look at them okay don’t listen to crazy people don’t listen to freakin bitpay okay don’t listen to bitpay who gets to have their word on Bloomberg right this is ridiculous bitpay is now a subsidiary of bit me okay they should just rebrand they should have three brand two-bit main pay okay so so don’t listen to this nonsense okay stick with the user activated so forth and get ready and I will be setting up my minor I have twelve hours starting at midnight and like to get it done before I’m gonna go to Montreal to this event so hopefully I’ll see a bunch of you guys there all right time to stop sharing camera and and get to your questions let’s see what we got here all right thank you rich helping me out with the questions again thanks everyone for your donations thanks everyone for you or for your support thank you to the private clients that should be coming back I’ve been a slow week but I’m sure will come when a price of Bitcoin dips I guess so are people’s interests and I in spending all right let’s get to your questions are your chart using weighted moving average or exponential moving average or simple my charts use simple moving averages for some reason I prefer to simple move an average one of the reasons is because it’s the most popular moving average I find I sometimes with technical analysis sometimes if you’re the only one using something is great you have an advantage but the other time is you want to use something everyone else uses because that helps you know everyone kind of pile into the same trade so I use simple moving averages next if BTC Forks would both Bitcoin core and B you go to all-out war without holding back trying to sink the other side I don’t know what’s gonna happen guys I don’t expect Bitcoin fourth I still give Bitcoin a 5 to a 10% probability of a hard for they’re not going to fork they will lose all of their money they will go broke decide that hard Forks will not survive they will literally go broke if if they could hard for if they would have hard for it with classic with the XT with unlimited they tried hard our fortune with unlimited by the way they lost their 13 and a half bitcoins when they bind an invalid block and then they never did it again right so they already tried that that should don’t worry that shit don’t fly so let’s see what happens to begin the sequence countdown you need nine consecutive closers greater than the fourth day prior right yes that is correct okay I don’t have the chart but yes that is correct so when you get those consecutive nine counts each close has to be greater than the close four days earlier it’s correct that’s so that’s in the cold that’s how the code is that’s what the code is based on all right next do you think the currencies like – or pivots could overtake Bitcoin in the long run because they have no governance issues and can react to market needs much faster absolutely not so – and pivots are both straight-up scams they have a governance issue a Bitcoin doesn’t have a governance issue okay so okay here’s the thing right so what you see as a positive with the governance anyone that understands what decentralization is sees that as a negative the fact that there is a governance structure in – it means that a it’s corrupt by the people that are doing the governance and B it’s corruptible by people with guns they’re just gonna walk in and arrest whoever is responsible for that governance that they don’t like right so the fact that these currencies have governance is a huge negative for these currencies and not a positive they were also you know like – was pre mind and – is proof of stake a lot like – is complete another garbage so they even if they were launched fairly and even if they were ran fairly like litecoin let’s say they still would not really have a chance to over they Bitcoin right and but they don’t even have that I mean they did they scam their way into their value and that value will not hold okay all right oh by the way here’s a great trade here’s a great trade right so if you’re an insider of some other scam like Z cash right so what you do is you load up on Z cash you short – and that same week so you load up on Z cash one week or some other scam coin right you short the share of – that same week then you know you text message Amanda Johnson or for her you know 50 grand to leave – and join the coin that you just purchased and the following day they she will start making videos calling – scam and your coin is the greatest thing ever drop moving all of the value of people that you know find a pretty and like her videos and whatever else right and you will completely take like 30 or 40 percent of market share from – into your scam right this is totally doable it’s an amazing civil attack and I kind of would love to see someone do it just take Amanda just take her onto your scam and prepare financially so you’re profiting from her leaving – you’re profiting from her pumping your coin and you’re paying her like a small percentage along the way right because you can profit way more than the fifty or a hundred grand it’ll cost to you know get Parata there maybe it’ll cost a little bit more right you can get into a bidding war with Evan right because Evan scammed himself into scammed for himself all that – so he’s probably sitting on millions of dollars so it’s possible that he can outbid you he can like offer her a million dollars so Amanda structure like threatened to leave and pump another coin and then she can just you know extract more and more value well I like text Evan every day hey so this month I’m thinking of going to icy cash unless you transfer you know 40 grand worth of Bitcoin or – or whatever the hell she wants and then like the next month or like hey so I’m thinking I’m going to pivots yeah I’m gonna need another 50k there’s like hey I need a I need a haircut I need to change my style so I’m gonna need another 30 K or I’m gonna go pump another scam coin so this is totally doable guys it would be interesting alright next would your bull bias unlight coin change or be affected by the apparent fact that LTC USD seems to be following BTC USD at least under well they all follow BTC USD right well I like when Bitcoin you know when Bitcoin sneezes the entire crypto market catches a cold right so obviously litecoin is always gonna mimic Bitcoin in USD terms and I’ve said on prior videos that always feels like white coin has been reacting faster and has been leading Bitcoin like white coin would like crash first and then Bitcoin and then like one would recover first and then Bitcoin and I think that’s because a lot of people have moved their Bitcoin into cold storage because of what’s gonna happen in August and instead they’ve been trading with light coin in order to they’ve been trading with light coin in order to I’m sorry guys and get another Skype call here I’m not sure one second okay done but I was looking at the sky for questions and I’m getting a call coming in alright let’s get back to this so I’ve been noticing that people have been using a light point is like a trading proxy because they’ve already moved a lot of their Bitcoin into cold storage this is just speculation on my part but I but but no there’s two completely independent things like I don’t even bother looking up like linen on the short-term in dollars right now but like coin against Bitcoin in a better bullish position than Bitcoin does against the US dollar and I explained that earlier in the video alright next will your segment in today in Bitcoin on the world crypto net will be a daily thing or only when there is something to report it will be I you know how tone feels in the morning thing right like for example it’s usually around 8 a.m. Pacific time which is 11 a.m. my time so if I’m home and I’m free for like the 10 minutes it takes through that show I’ll do it right it’s independent of whether there’s something is or isn’t going on in Bitcoin because it’s only like I’m trying I’m gonna try and get that segment down to like a minute or at worst a minute and a half and I’ve wonder if people still gonna watch my videos so they can get a minute summary on the price but it has nothing to do with whether there is or isn’t anything going on in Bitcoin it just has to do whether I am available to do that show at around 11:00 a.m. New York time or wherever I am in the world during that show right so that bet all-in depends on that so for those that don’t know go to the world crypto Network YouTube channel we are now doing like a five to seven minute daily morning show and just to keep everyone updated on the news for the day and I’ve been doing like a one-minute Bitcoin price summary with my charts yes I guess it’s possible for you to do it in a minute alright next will there be a crypto 10 or similar to the Nasdaq can no I I mean there already is right I mean anyone can put that together like look if it’s not Bitcoin it’s probably useless litecoin seems to be okay Mineiro is kind of okay but that’s it I mean everyone else is already doing this right like yeah anybody can do it you want to hold the top ten crypto in proportion fine you’re gonna lose you’re gonna lose in Bitcoin is going to outperform your top ten each and every time each and every time on a long-term scale give it one or two years and Bitcoin will out form any top-10 okay because whatever was number two is gonna go to number 20 and whatever was number 20 will eventually go to number two but by the time you buy into it it’s gonna be near number two so you can try it and you might beat the market you might be Bitcoin for a short amount of time but at the end of the day you will not be Bitcoin with your crypto cough tab next why is it either segue to X or user activated so fourth equals chain split which is detrimental to the confidence of Bitcoin why can’t do nothing be an option or any other option for that matter okay that’s a good question two reasons why do nothing is in third option first of all when those big blockers starting spamming the shit out of the Bitcoin network to push their big blocks agenda people like me got very frustrated and said it’s time to scale back when I debated Roger Roger Vere in Mexico in February I said I would be okay with status quo and $100 transaction fees when it came time for me to pay those hundred dollar transaction fees to you know move my Bitcoin donation account to a safer place because of the hard fort I I was not happy about it right so and they were driving the fees through the roof and I I’m friends with like some wallet CEOs and they were getting very frustrated because their wallet software wasn’t like perfectly estimating correctly and people were complaining and all this stuff right and I cannot want to start the scale it’s time to rip the damn band-aid psyche what has been ready for over a year users once said what everyone says it’s safe code life coins been using it for a while other old coins have already adopted it we can’t have shift coins you know advancing in technology faster than Bitcoin with bitcoins developers as making that technology right it was time to scale the other that’s one problem oh we’ve had enough we’ve had enough and we need segue so here comes the user activated so here’s the other situation while they’re delaying user activated soft fork they keep pushing they keep pushing more and more garbage well we can’t get that so let’s do this let’s do extension blocks let’s do bitcoin ng let’s do Bitcoin unlimited let’s do this garbage let’s do dad garbage they keep pushing they keep pushing you know take over code onto Bitcoin and again we’ve had enough people like me have had enough I’ve had enough listening to their other proposals that will let them keep their AC boost that will let them control transactions that would let them have these higher fees because the miners don’t like low fees right we’ve had enough right and we need these people out when the Bitcoin is to scale safely and it’s time to just get it and if the economic nodes start running start enforcing bit 148 it will not be a problem miners will have to start mining it and you know what there’s a lot of miners that will love to mine it and mind those blocks I’m gonna be on slush fool whining pip 148 oh hey the what’s the hash rate the higher the chances people like me can find a block next well I think that’s it I think I’m done with questions guys wow this is great did I really just get a showdown in one hour I think that’s perfect so rich solace you have another question I could go to the live chat Aven see I’m at 450 viewers right now guys please stop asking me about old coins if you want to know my opinion on an old coin just Google me with that old coin right there’s also a podcast called crypto scam if you’re asking me about a coin that was covered in crypto scam please go watch crypto scam okay someone’s asking me to look at usd/jpy sure are maybe next time I’ll try and sneak that in do you think that Bitcoin August events will be the same as BTU crash in January I don’t know I don’t know what to expect guys I can’t speculate on what’s gonna happen in August because we’re not near walkest yet right we still have a month to go someone says do you believe in implementing trading strategy strictly based on supply and demand that question makes no sense to me in my personal experience I’ve never found a better way to trade I’m yet you never mention it because I have no idea what what I don’t know what trading strategy is based on supply and demand are like where do you get your data where do you get your supply data where do you should demand data if you’re talking looking at the order book I think that’s the stupidest way to trade I never look at the order book I think it’s meaningless and I’ve talked about that on previous shows alright hey guys you have to realize that there’s a difference between a chain split in the heart for they’re not the same thing so when someone is Manish mentioning in the comments that I changed split would be detrimental it’s not a chain split is not a hard work so please look up the differences and then I’ll follow up with maybe another question later on I don’t know what’s gonna happen in the next 10 to 20 days III can only tell you this week’s scandal and what needs to happen this week in order to enter a trade next week like I like the environment changes every day I have no idea I mean I don’t even know who’s programming segue to axe or where the hell what the hell they’re doing because it’s tough like can you open right like nobody knows and all these people have committed to running it it’s insane yeah if there are two bitcoins if there is a sustained hard fork um you probably won’t be hearing for me because I’m gonna go back to you’ll be hearing from me but if you care about gold and oil I’ll be I’ll be way more detailed Gold oils and p500 I’ll be trading those I mean I’ll I’ll I’ll get out you know I’ll get out a Bitcoin like I’m not I’m not here to deal with two bitcoins I’m here to deal with one how can Bitcoin become universally adopted accepted with the current transaction issues I don’t want Bitcoin to be universally accepted and adopted right now especially accepted bitcoin is not here to be accepted for your cups of coffee bitcoin is here to quote another developer bitcoin is here to make transactions people with guns say you can’t make no one is telling me I can’t buy a cup of coffee but they are telling me I can’t do certain things and that’s what bitcoin is for I don’t care if it’s universally adopted okay it’ll come when the other side screws up like we need to slowly scale we need to safely scale okay III don’t want to be visa right now I don’t care like my visa works for me just fine I just got my uh another visa I think I just got like my eight credit card or temp credit card she’s got and I finally got like the visa Amazon Prime card time to say five percent on every Amazon purchase with my Amazon Prime visa right like like look I don’t need purse that I owe I’m saving five percent by using Amazon’s credit card like why do I need to say five percent by using my Bitcoin which is way too valuable for me to use I’ll use a credit card I can also do a chargeback I have the advantage by using a credit card how do I determine the intersection and price flip on the setup the color changes of the numbers tone why is everyone who can say Bitcoin could fall below 100 because of the volatility between now and then the soul should storm there will be winners but many are going to lose well it’s not gonna go below 100 I think you might have meant a thousand I can see it going down to a thousand and people will panic people panic and people will sell especially people that just bought people that just bought there they’re gonna be scared and they’re gonna sell and if you think you’re gonna be a buyer of Bitcoin haha trust me if Bitcoin fell from two thousand three hundred it is today two 1000 by spite this Sunday by this Sunday it’s not just gonna fall for no reason it’s gonna fall for some pretty damn serious reason and whatever that reason is it’s probably gonna scare the shit out of everyone that says I would buy Bitcoin for $1000 yeah anyone would buy a Bitcoin for $1000 that they can turn around and sell for 2000 the next day but not many people will be buying Bitcoin for $1000 when it has fallen in 3 days from 2000 to a thousand and you have no idea if it is going to a hundred the following day okay you watch you’re gonna be in a when it’s time to actually put your thousands of dollars in the line yeah maybe you’ll buy you know like three hundred dollars worth $500 worth but you’re ain’t gonna put you ain’t gonna dedicate 50 grand to Bitcoin when it falls from two thousand to one thousand and three days to trust me right no one’s that crazy well a few people are that’s how they ended up with a hundred thousand Bitcoin back in the day but most of these bets they don’t work out they just don’t all right next is it possible to mine solo on slash pool that’s a contradictory question if you’re gonna mind solo you don’t need a pool all right someone saying you said you will be using your Tresor and the user activated soft fourth side of the chain when I set up my truss when I said my Tresor up will it ask me which side of the chain I want to use metros or there’s a drop-down so slush tweeted it out there’s like a drop-down where you can choose from a drop-down what kind of node you want to use your Tresor with so check that out whoa July 21st be a day we know a lot more about segue to axe probably July 21st I’m on an airplane I’m flying to California I’m gonna spend six hours on a plane so wolfs we’ll see what happens yeah segue to X was tested on a test on a brand-new test net and in hard forth on a test net you know anyone surprised I’m not I don’t know where you can short Kryptos like litecoin I don’t trade this stuff I trade other stuff but I’m sure there are are you buying any you know what I’m not gonna mention projects I’ve never heard of guys I know you want me to say a project’s name so that someone else can make a post same tone mentioned this project I’m not doing it I’ve never heard of it I’m not gonna mention where do i trade traditional markets I trade on Interactive Brokers that’s my i broker Interactive Brokers well I do my narrow charts again sure I’m going to wait for another private client to ask me about my narrow and then I’ll share the chart the updated chart okay so another question after a hard fork core devs and majority of users stay on the legacy chain and only all of the big blockers are with new shit coins what to be afraid of why leave one year setback big deal no it is a big deal it’s a big deal we can’t one year setback right there are too many users of Bitcoin that have no clue that segue to our success they have no clue that segue exists they have no clue who I am they’ve never heard of me they have no clue who Roger Vera’s they have no clue who even Satoshi is well nobody does but they’re even never even heard of Satoshi there are people using Bitcoin today that have never heard the word Satoshi you do not want to bitcoins because these are your users these are your users of the coin if you never thought about people using Bitcoin who did not even know never heard of the word Satoshi you have not really thought about the current situation and what Bitcoin really stands for we can’t have two bitcoins we can’t have these people confused in one Bitcoin Bitcoin can’t go down can’t split into two let me see what else I got people are complaining that I don’t know anything about the EU I’m going I’m gonna spend five weeks in the in the European Union and starting September I’ll get back I don’t see how my view is gonna change alright guys I think this has been good enough I’m keeping it to an hour 20 I went through a bunch of your questions so um catch me on the next one again thank you for your donations thank you to the private clients and I’ll see you all on the next one alright bye guys
]]>Bitcoin is Forking: UASF – Educate & Prepare – Montrealhttp://howtoearnbitcoins.com/bitcoin-is-forking-uasf-educate-prepare-montreal/
Sun, 16 Jul 2017 18:58:41 +0000http://howtoearnbitcoins.com/bitcoin-is-forking-uasf-educate-prepare-montreal/
it’s not finished in Montreal we start again in September and I see a lot of new faces so that’s that’s pretty cool actually that’s really nice so tonight we’re going to see Francis that’s going to pitch about forces the confounder of Catholics in it’s going to pitch about USF and sigrid with compound whom is church at Concordia University focusing on become and I’m gonna give you give you hi everyone thank you for being here I’m Khalil on the marketing and communications manager at district 3 I’m very curious to know just by a show of hands who here came to district 3 for the first time great so welcome to district 3 it’s really a pleasure to have you so for those of you who don’t know what we do we’re basically in an Innovation Center based at Concordia University and we really help entrepreneurs develop their startup we felt over 350 startups over the past four years and the beauty of it is although the arc particle quarter university were open to everyone so you don’t have to be a Concordia alumni or a current student in order to participate in our programs and by joining our programs you get the benefit of having coaching so we have a lot of experienced coaches who have built successful companies in the past and they are able to give you guidance and support throughout your journey as well as you get to learn all the different methodologies and all the tools that you need in order for you to succeed we have one example here you know Arthur presented this morning now and he runs one of the starters called severance they do a block to neck identity and so you know a lot of the benefit here is as you can see it’s an open space it’s an open community for people to be able to share between each other and to be able to share insights and skills in order for them to succeed so if you’d like to learn more you can visit our website at e3 Center dot CA I hope you have a wonderful evening you get to learn a lot of the insightful things about blockchain tonight and thank you yeah let’s talk [Applause] so are you ready just in a second just a second all right so tonight is going to be in two parts the first part the big technical so fully guys will follow and then the second part it’s going to be about networking try to get to know each other and we have also some pretty cool announcements so try to stick around right about 45 minutes an hour 45 minute presentation 15 min Q&A and in an hour we’ll do some I don’t smoke ready yeah it’s so small I can’t such a system when you see guys are you able to see all right miss toy miss Kazue Thank You Arthur I’m gonna do the presentation in English thank you very much district 3 for hosting us and helping us set up all the logistics for this event so we don’t have a lot of time and this is a really important really complicated topic so we’re gonna just so the agenda for tonight is I’m gonna do a more formal lecture type of presentation as was written on the meetup this is going to be very technically advanced it’s going to be confusing if you’re new to Bitcoin even if you’re a Bitcoin user a lot of those concepts you might not spend a lot of time thinking about and but if you try to go as as easy as we can as a professor like as we can this is a university after all so it’s going to be really an education session where my goal is to give you some kind of conceptual tools some knowledge and some insights and some of my personal opinions and that’s going to be very clear when when it’s my personal opinion or not regarding the upcoming Bitcoin fork on August 1st and regarding a potential other upcoming Bitcoin Forks and just scaling debates in general so just as a way to couch the audience who in the audience knows what this means yo ASF so is aware and please do raise your hand if you do know okay so that’s really really good really good so for people who are on a video we’re streaming the slide by the way so for those of you that’s about two-thirds of the room who here knows what this is but don’t don’t shout it if you know what this is assert zero but it is you know what it is okay so this is a good gauge of the audience perfect so I’ll tell what it is later okay so let’s start with a little disclaimer first so nobody understands that coin and that’s okay so this is a really good quote that I like from a guy called Jameson Locke he’s a I’ve been coin and engineer and he’s a fair well-known person to space a thought leader in this debate the point is that what I’m about to tell you is self-taught knowledge I don’t have that experience background in currency or distributive system so oh this is something I learned over the last three years of research we have content here which is a little more logical than me which K is gonna chip in for the more technical parts and which is supposed to stop me if I say something that’s wrong so that’s his main job for tonight why is Bitcoin so hard to understand it specifically we’re going to be talking about Bitcoin protocol upgrades procedures and the big boys came debate so it’s pretty at the barn while you’re starting to talk about how the consensus works in Bitcoin and understanding that you’re already pretty deep in there so it’s hard because it’s this nexus of a lot of different fields and we require little knowledge from different fields and also a certain frame of mind so economic theory monetary science cryptography game theory is usually the place where some people get lost is really not hard to grasp computer networking it’s a it’s a paradigm shift the governance model of Bitcoin cannot be compared to anything that exists Nakamoto consensus democracy’s autocracy it’s really hard doesn’t have any kind of mental references so at some point people do get this aha moment and people get I got it twice I got that aha moment when I find is to pick one and I got the ha moments when I understood really the consensus for it so what we’re talking about today and this really mean yes okay so I understand now like how the blockchain works but still as we can see ya mister when you get into Bitcoin so you start out thinking that you know nothing because you know nothing and then you know you’re an expert and then at some point you go so deep because the rabbit-hole never ends as you know it’s impossible to to claim to have full there’s there’s a hundred people maybe in the world that can really claim to be true full-blown experts so that’s my long disclaimer let’s start so this presentation is about governance challenges so governance challenges the challenges in upgrading the blockchain but there’s another challenge that big core attempts to solve is the centralized consensus so when we talk about what’s the point of Bitcoin what are we trying to achieve with the system it’s again anonymous competing interested parties to agree in an open and hostile environment so obviously that’s not an easy task to to challenge so before we do that we’re gonna be talking a lot tonight about notes mining nodes we’ll know economic nodes also some knows their social networks so let’s just go over a quick recap of what these are so my point is structured as a peer-to-peer network architecture on top of the Internet there’s no server there’s no centralized service there’s no hierarchy within the network nodes both provide and consume resources at the same time this is true for most beautiful networks if you’ve ever run a BitTorrent client to download a movie legally of course you saw that it had Cedars and leechers so Cedars it provide resources to the network which is the ESA’s of data and features they’re liters so the Bitcoin network when we’re talking about the Bitcoin network we’re talking about this collection of notes that you see there so here what we’re talking about nodes there’s different types of formats of notes of different functions that they are all equal so a node is a computer program that you download on your computer that’ll new server that you’re running which is fully validating transactions in a block almost all full notes accepts have the network by accepting transactions and blocks from other full notes or reeling them and most importantly as we’ll see you later the full nodes the validates those transactions and blogs and they also validate them against the rules of Bitcoin so suggestive reading for this is mastering Bitcoin address analysis book chapter 6 the Bitcoin network so moving from moving on specific type of node economic notes so what are in economic notes we hear a lot about this term and it doesn’t mean much so I’ll just call it economic nodes are participants in the Bitcoin economy and so these are participants they can be individuals like very large wealthy holders or traders and stuff like that usually we’re talking about companies I see there’s platforms that allow the point users to engage in price discovery such as exchanges trading platforms they allow a Fiat to enter and leave and a blockchain and so they are the on-ramp off-ramp such as just bales the chests coinbase such as like there are all the stuff the economic nodes they provide the usefulness and value to a blockchain so they can decrease these nodes can decrease or increase demand for cryptocurrency as the direct result of their actions and policies and those nodes are drivers of network effect so these are institutions around with around which users will revolve for instance in the case of a big node coinbase a lot of the users are kind of stuck in this ecosystem they’re revolving around that and coinbase drives the network effect of Bitcoin with that by using Bitcoin so these economic nodes can also be delegated some responsibilities bye-bye Bitcoin users as well see a bit later and the distinction is that some nodes are more equal than in Bitcoin although in the protocol level they’re all the same notes so if I’m holding one Bitcoin or if I’m running coinbase there’s no difference between our two notes from an architecture point of view but one of them is clearly more important together because that note is is routing traffic is broadcasting traffic and is accepting traffic from billions and billions of dollars so it’s much more important in the economics of big one than a regular note what doesn’t mean that have any special privilege whatsoever of course excuse me okay okay so delegated super notes this is a oh right so a list of economic notes I’ll just go through a list holders are really big economic notes so people that hold Bitcoin on a node and decide not to dump and they signed up to sell they give value to that blog chain so holders are supporting economic notes exchanges payment processors and know theses like Bitcoin ATMs and they offer an on-ramp for most of the users which don’t know which chained in transacting on you know Bitcoin ATM operator it’s probably one of the most important players in the debate right now because ultimately when someone goes to put cash in there she’s going to decide you know which points he said to this person and claiming to be Bitcoin and the most important function of economic notes as far as I’m concerned is determining which chain is Bitcoin right so if you’re cracking or cone base and your powers to say well you know this is Bitcoin and this is Bitcoin to X this is Bitcoin usf this is legacy corn or not so the name the brand name Bitcoin ultimately the businesses that are selling Bitcoin and buying Bitcoin will be saying well I consider this significant or not and there will be it a I guess a market consensus that will spontaneously emerge around one definition or not but it’s very possible that two different types of different jurisdictions for example we might see somewhere near somewhere where people have just different presentations of which chain is Bitcoin according to what them make changes decide to do so this is a term that doesn’t exist in textbooks I’m still trying to figure out how to frame it but you can some nodes are not economic notes per se but they’re more important because a lot of users delegate crucial pass to them you can think of mycelium my student wallets that’s not necessarily an economic notice just a wallet but you are connecting to my students node and you’re delegating a lot of pass to mycelium for example the validation of the blocks and so forth blood showing that info blog explorers these don’t necessarily increase the gap on rep off-ramp of a Bitcoin but there are nonetheless more equal than others because for example if function of age Bo the world’s most used block Explorer decides to say that you know one chain is another or decides to feed some information to the users well they have a they have a big way to although they’re not necessarily an exchange excuse me [Music] sorry but [Music] okay so what’s the objective of this whole thing what’s the goal we’re trying to achieve its which forms a consensus rule so the governance model of Bitcoin lesson number one is neck Emoto consensus is the process by which donors participants in a decentralized spirit appear system something you see agree on a history of continuous efficient store transactions ledger this is kind of a definition that I made up using a few definitions so it’s a very interesting governance model because the goal is to agree on something and we’re interested parties and there’s this whole system by which we coordinate our actions in order to agree spontaneously on this thing or not any coercion involved so that’s why it’s relatively unique and what’s unique about total consensus is that it works right Bitcoin has been running for eight years now and we have seen in action and and we we know that this is something that actually works so what Bitcoin does is that the system does essentially is we’re channeling market forces and we’re fostering competition with incentive structures built in directly in the cryptographic protocols and we always assume that everyone will act out of self-interest so the genius of Satoshi one of the geniuses of Satoshi was to make sure that the incentive structure was such that if people always act in their self-interest always kind of entering this spontaneous order and cooperating so it’s a system of checks and balances which ensures the centralization and participation so in a big part governance process there’s multiple stakeholders that all have a lot of skin in the game so how it works is that miners use their vote to texts and transactions in two blocks to prevent double spending which is you know the goal of Bitcoin they exercise this vote by providing a proof of work so the proof that they did some work which was derived from a very computationally expensive repetition of hashing functions essentially so the miners they basically do math and the math and this is what makes the corn work we never give the ledger is ultimately preserved by the ability of all the participants to independently validate whether each vote followed the rules so this is how this is the recipe so like how the blockchain is made essentially so the blockchain and this is just a this is just a kind of a language issue but um I don’t necessarily agree with the idea that the blockchain is a technology behind Bitcoin that specific quote it’s really weird to me because the blood chain is the result of the outputs of the nodes response it spontaneously have dreamed together using Nakamoto consensus on which transactions and blocks are valid and this is what makes Bitcoin and blockchain really awesome so we have governance challenges in Bitcoin and it is introducing new features designed by users so it’s kind of a chicken and egg problem because we’re using you know the consensus rules that we have to change the contentious rules that we have to determine you know how the future the consensus is going to work so a good analogy to upgrading Bitcoin is upgrading an aircraft in flight because this aircraft is you know big noise carrying about 40 billion dollars of people’s money and when you if you want to you know tweak it you know you’re going to be aware that there’s a significant amount of people that are depending on you know their their survival right so in the case the passenger right and this is particularly true and we’re gonna be doing a case study today on a particularly change which is which is a proposal called segue alright so before we go into the contentious changes to Bitcoin to talk about these it’s not about the changes to make on that are not contentious and then they’re happening every time you upgrade your client because if you’re using Bitcoin you’ll see that there’s regularly on the software updates so this is done by a team called Bitcoin core so the core core is a team which maintains and builds one client of Bitcoin called Bitcoin core which is called the reference implementation because traditionally people always use the consensus rules of Bakura has the real consensus rules so if you want to you know big mark or is Bitcoin is the direct descendants of the Satoshi Nakamoto client and it is the official Bitcoin that we know today so it’s a team of I’d say more than a hundred developers with about a 10-15 core group which is really active with three maintainer that are very independent individual soul anymore underline which basically decides at the end of the day with its merge or not and with a Jonas Nellie and Marco fuck with a group of other developers which are kind of them the wise the scientists masters of Bitcoin and what’s very interesting if you look at open source development specific in this and that is this institution a bit more core which is the result of spontaneous collaboration there’s no just immersion of nowhere there was a beginning nobody was really sure how they were gonna organize themselves but it emerged basically from the ground up there’s a strong culture around the respective procedures and it’s a very conservative these are custodians of the code so they they are very conservative people they are mostly volunteers some of them are paid by their bosses by their companies basically to work on Bitcoin but most of them are volunteers there is also a sense of values and ethics associated to Bitcoin which tends towards decentralization forever since especially resistance so obviously Bitcoin core as a team is you know proven consistent delivery they are the top blockchain experts in the world by by by a mile and cross block chains they are the best in the world esteem and they’re kind of the informal scientific abhi which is a kind of studying Bitcoin and testing different upgrades and so forth so it’s really there’s two difference right there’s two different pieces there is the wallets of Bitcoin core which is just a wallet and there’s many other implementations in Bitcoin there’s Bitcoin core and then there’s you know some built on top of that like bit corner there’s live Bitcoin which is completely separate which is not big one core but whose consensus rules are mirrored on the course so it works be going BTC deep in my notes and what’s contentious and what creates potentially a split versus just upgrades for example new upgrades appear in Bitcoin all the time which make a you know propagating blogs more efficient then which which create a lot of efficiencies all the time so these are not consensus critical they don’t need to split so what’s consensus critical is basically changing essentially like what gauge goes into the block how the block is shaped what kind of scripts were putting in this block kind of some cool rules like the limit of coins and any change basically it’s it’s it’s not hard it’s not easy to describe exactly what the what defines consensus code I’ve not done for me but basically any change into like how the blockchain is built not necessarily how your wallet behaves or or broadcast blogs for one wallet to another it’s really like how the blockchain is crafted like the recipe of the blockchain basically okay so assuming that’s and this is this is a graph I did some kind of help everyone understand the changes in Bitcoin how they work and how I think they I think they work or how I think from at least the planning perspective it was gonna you know design Bitcoin from whatever observe this seems to be how it works okay so the users usually start with requirements this is not always true because the developers always know often know what the users would want in advance and as the pretty consistent but normally requirements for Bitcoin come from the users right so I want this I want that I want more privacy I want more decentralization and what lower fees is brought requirements that come from the users and the user is the delegate the enforcement of this rules change you know they want to change the rules but they delegates this decision-making to the economic nodes en that they’re using unless they are user notes so if you your user and you run your own notes you’re independent in this process you’re making your own choices but if you’re like most users then using a blog Explorer and using my city of rigged wallet or anything like that you’re dedicating that to either another note or survey or a business right so the users they communicate those requirements to the businesses that are trying to make money off of them and that is they kind of make majority now the economic majority will try to get the consensus around okay so are your users saying that my users are saying that your users are saying that so okay so we’ve got a kind of a consensus that this is a requirement that’s legit and that you know has some you know some potential to be implemented and then um the economic notes are to consult the miners and the exchanges should you run tables and all that together I feel you know for what the priority is a big one should be and then they would tend that to the Bitcoin core team they will say hey before we want this right and the core will say the first have this kind of this is not how it happens but conceptually that this kind of checklist so developers in the core quarter they’re not going to propose a change that doesn’t have a potential to have consensus so they look at the miners industry dance you really like and business this to state their their opinions and they look at what users are saying trying to figure out if this is a good idea or not if people want that um so essentially once there’s this idea that this is a good change you know then the developers will create code and they’ll say okay so this is you know we were thought that you might want this so this is code that will do this and if you want if you want to use that and it’s up to you to run it so the developers can’t force anybody to do anything they’re just proposing suggestions um what we see here also is the epidemic nodes they enforce the rules of Bitcoin by validating blogs because exchanges are notes and you know it’s what they provide you know they’ll basically say like if you’re in exchange I’ll say well I’m not gonna accept this Bitcoin for another you know I just pick one off of you this is not a Bitcoin I want another Bitcoin so because it has different rules you’re on different blogging so economic notes we do that and essentially what we’re looking at here is that at the center of the consensus process and you have you know users themselves or you have users I have delegated some responsibilities to the notes that are kind of driving the consensus so we’ll see you later it doesn’t start or end with the miners not at all but let’s say that we have a grunt agreement I guess on which changes we want now the problem is that is if you get a nick problem because the miners The Oprah new boss blocks with the new rules that are going to be accepted by the majority but the majority basically the size which blocks are valid and also who starts first to activate right so the idea is that we all like to be at the same time but there is a power struggle to whom for who yet to activate the changes so this is again just an essay this is not exactly the official process okay so let’s talk about the current role map that we have in mid Concord so the broad requirements by the users as I have observed them myself through my interactions with users decentralization open participation so you know kyc to go in the bunch Arab a corner stuff like that security stability or you want your bitcoins to always either privacy censorship resistance you only anybody will be able to stop your transactions they’re going to be cold but people won’t make one want some smart contracts which essentially means more advanced scripting yet language not drink and bleed but we can talk about stuff like a payment channel when my name network is a form of our contract side chains are kind of you can consider forms of smart contracts or a multi signature is a form of contract second layer solutions and recently as we’ve seen they want the users want low transaction fees not all users but most users tend to be biased towards paying less money to the miners and more transaction throughputs or more transactions per second so these are the requirements now big more court-issued a road map about two years ago which as you can see they already ticked off load the boxes there let’s go through that remember specifically alright so basically the road map has been signed by like 80 developers 90 developers in Bitcoin core so it’s not you know a set of rules it’s just a gonna have a priority list and general principles so it’s the official road map of Bitcoin core although obviously the specifics people it’s not a there’s no entity in Bitcoin core it’s just a group of volunteers so nobody decides step one is to optimize everything so exist the corn already works in a certain way let’s make it better let’s make the block really better let’s make the signature libraries better let’s make sure we use less data let’s make sure that it takes you know six hours instead of a week to download the corn like they’ve done recently then step two is segues we’ll get into that later segment is an architectural change to the way that Bitcoin transactions are crafted transmitted in sport it’s a soft fork it’s a non intrusive change and it opens up for a lot of possibilities so this was for the last two years the item that was is being blocked or is been done recently but this was a stepping stone of the scaling romantic with is absolutely crucial for it step three in the official in Concord roadmap is potentially hard Forks there’s already a lot of proposals by big more core developers too too harsh works and one of them is specifically interesting component by dr. Johnson Lau a big record developer so it’s not true that the core is against hard for anything like that it is on the official timeline but at the same time at the same time we’re looking at these work for research and how we can make it happen and specifically making a wish list because if you’ve got a hug for you may want a hard work with a lot of stuff in there that needs to be fixed anyway like you know some some maintenance that needs to be done anything with it but I can only be done by a heart fork specifically for example the the nonce area and the blog header that is would be a metaphor but it’s kind of a trivial change that you know nobody would argue against so this is the road map that were that was supposed to basically happen so segue this on the road map is number two in this hard for bit number three so it’s you don’t have a recap about what those things are so in Bitcoin a most long chains the way you introduce a consensus level changes or changes is either with itself for girl hook for this might be quite specific but or some all points based on the conduit like that as well so very simply it’s actually not that hard to understand a coin soft fork is an upgrade mechanism whereas the heart for groups like so replace the mechanism and we’ll see that for example they soft work it adds rules or tightens them so it doesn’t and you’re basically making how the blockchain can be changed in a more restrictive not exactly you’re basically making the rules more restrictive whereas in a heart form you’re making the rules looser or or or you’re removing them for example the the blood size limits in bitcoin is the way that is determines how the block is created so it’s a consensus level change and if basically you move the block size from one megabyte to 500 kilobytes that would be a soft for it but if you put it from one to two it’s a hard fork because the rules are more loose the main difference is that the old software will accept the new blocks so it’s backwards compatible whereas this artwork it’s the whole software will reject a new blogs so from the point of view have an on for the point of view an event of an upgraded node so no that’s been its business in a soft work the new rules are good and the old rules are bad if you haven’t upgraded and you’re in a soft fork well all the rules are good also the new ones and if you’re not upgraded note in a hard fork then the new rules are bad and only the old rules are good so they’re rejecting the new changes if you haven’t upgraded really important vocabulary distinction if fork is not a chain split a chance plate it’s not necessarily a fork why because and then will try to split this vocabulary and say a fork will be a software upgrades so something that’s kind of deliberate and a chain split is a result potentially have a software upgrade or for example of something out for example you can insult for Bitcoin and not have a chain State and you can have a chain split without an upgrade for example in happening Bitcoin core 0.8 in 2013 that was temporarily really an accidental split but it wasn’t because of a new software it was just a bug right okay so it is going to stick with because this is what we’re fighting over so with is an architectural change to Bitcoin it’s a software which is backwards compatible what are they going to much in the details but basically what it does is that epic per transaction contains inputs and the signatures of all those inputs so if you receive for example 51 bit Africa let’s say you receive 51 Bitcoin transactions and you’re spending you know 50 Bitcoin in one transactions basically that transaction will have 50 signatures of all the inputs you received the goal of Segway is to change the way transactions are done by removing some of the unnecessary data and segregating it outside of the transaction using a new special status which is called a witness and what’s important is that not all the nodes have to keep this data you can if you want to be sure to have more security to have more control more validation but you don’t necessarily have to so this this data has a discounting weights basically the way that brawls are created without the prior radiation size to block weights and what this says is that there you can put more transactions into a block essentially transactions are then smaller and you could put them through the blog so analogy it’s kind of like if you’re shipping you know a container a maslow and make sure everything fits in the first container instead of messy container it has a lot of benefits scalability is not the intention of segments it is just a stepping stone and a side-effect the object of Segway is to fix transaction malleability which is a bargain Bitcoin has been bugging us for a long time it makes some of the changes that stuck with making sure that we can implement the changes in the future much easily for example store signatures which will dramatically reduce the size the signatures again and allow for summary score scripts thanks this quadratic hashing it’s increases security for multi sake increases security for Hardware wallets they’ll pretty much everybody benefits in some way or another it has a lot of good benefits so sequitas designed by the developers to be activated using a big tip is a bitcoin improvement proposal big one for 141 and the mechanism for activating well bitcoin is big 141 in the mechanism tracking activating big 141 is 59 at this point I’m gonna just stir over to accounting and ask a thing is there anything you would like to add before we’re going to define the stuff that I’ve said before Corrections or comments or additions that’s gonna yet and you want to talk about them a little bit 141 and yeah so know me variability a way to deploy simultaneously multiple so forth so what it does is it’s like my nerves have to follow some rules in order to deploy a football so to do that I should say in the chain of it if you block it up of the of each block to say okay so I’m like to actually like this rule and so you full of two steps and at the end you actually support so I don’t need to detail our big nine work gives like thank you so few steps to tradition we shall be today the softphone old blog that no not respecting the new rules exactly so big 9 was a an introduction to Bitcoin which is a 2012-13 I think maybe something like 2015 actually so it’s a relatively new addition to Bitcoin which I made by this guy right who says I’m sorry it’s my fault and so I go off at midnight and he’s sorry about that um why because bit 9 was this getaway for miners to ear effectively show their support no another support sorry initially was the technical readiness so you would signal for a soft fork if you are technically ready to do so which gives the users the signal that ok the miners have not upgraded they know this change and we can feel free to you know activate this or exactly this because the miners are ready so it can be it can be I guess characterized as miner voting although it was supposed to be voting for signalling readiness which was the terminology and the problem was with that is that nobody thought that segment would not pass because there doesn’t seem to be a lot of downsides to segue the threshold was 95% so basically bit 141 which is sec width would activate then once the 95% of the miners would signal for that using midnight and then moon else was change and price of bitcoins would double and we would get an amazing new Bitcoin which is much better than the previous one and a lot of the old coins would lose steam and you know everybody thought that this would be great for everyone but the problem is that the miners have not been signaling and there’s a deadline right so there was one year the miners had a year four and this is what rusty Linux kernel developer who built the said is that you know we just put one year because we thought you know it’s you know if it’s bad then it’s just gonna go away and if it’s good it’s good except it really fast did not think at all that the miners were going to be using that is the users but I thought that the point of Bitcoin was that the miners book with their hashes so the miners should get 2 votes as a democracy on what changes are put into Bitcoin well this is a missed misunderstanding it’s actually mistake the miners vote on which transaction is going to ledger and in which order but they do not necessarily vote and know where the white paper says that they vote on that protocol pries actually the first changes to to Bitcoin I love the changes to Bitcoin have been you know user active in soft work just saying you know we’re just going to change the software at this date and you know everybody upgrade so it is a fallacy to believe that because miners have the ability to signal their readiness for something because the developers will kindly come back for them and because the the miners do actually votes for which transactions both of you actually about there it is a misunderstanding to believe that they vote for what software and it’s activated then I’ll show you why so this has been updated so this is the this was a card for proposal called the corn limited we should have here which a lot of the miners are signaling for at this point in time it was about 40% is probably around the same right now and you have the other core other core knows that about 57% but if you look at this here what you see is that you have all these nodes which are Bitcoin core nodes and these are the Bitcoin up and limited notes and we’ll see what happens if the miners thing that they can vote in new changes to Bitcoin so this is what happened so full notes in Bitcoin have a lot of power they validates the transactions they validate the blocks that the miners feed them for example Roger which is a very prominent opponents to segways for reasons that are hard to understand accidentally with his money pool Karina LeBlanc which was not one megabyte because he was probably using Bitcoin unlimited which is funky software and he actually created a blog that was more than one megabyte and what happened is that his pool started to propagate it and the Bitcoin unlimited knows they received that they also propagated it but all the Bitcoin core note said and not passing not only this block is not valid for about the note that fed us an invalid plug because you know once I try to cheat the rules of Bitcoin so the book was rejected and as you can see the block is kind of floating away disintegrating it was rejected by the network along with the block reward and all the work that went into it so the full nodes will not accept and relay blocks that are not valid so unless you convince other nodes to upgrade then you can do whatever you want but do blocks are just not going to get accepted by my note so I don’t know what that is that’s not Bitcoin this obviously happens automatically for those who weren’t conscious of that this is just the client which is running which is doing everything so in in a fork scenario the businesses for example was a very hostile hard fork with very bad intentions and bad code so this actually is a this is a buggy limited search zero which caused all the nodes in the network to go down or most of them for a bit of time and this is what they were trying to sneak into our wallets so we were really not happy with that short with that change and a lot of us weren’t happy with that change so when we’re thinking about governance we got together as businesses and we said you know what you can feed us miners those nodes but we are letting you know that we’re going to be enforcing our rights according to the protocol we have the ability to not automate those rules we won’t accept them I said we made it really really clear that we wouldn’t list that we would extend that and we didn’t I don’t think you had a meaningful impact because it was a lot of small businesses from people that I know but this is the kind of stuff that economic notes should be doing for protocol governance and scaling a big one so who’s opposed to same words and why is it contentious that’s a really good question so let’s get into some name-dropping so some large mining manufacturers like big main is the main opponent to set with it main producers anywhere between a 60 70 50 % of all the hardware in the world for mining that we know of we don’t know that but that’s that’s these are claims so as one of the monopolies might have actually I think they they’re they’re kind of a mountain but monopoly on my effect or you know very close to they had a lot of the leverage over the miners themselves and over the pool so some of the large mining pools some of them are bit me I run directly by between or as a known proxy some of them are go they used to be run by big name but most of them are getting their equipment from hitman some large others and investors in prominent personalities are against segment Roger Ferris against tech we robbed River believe that if we get sick wit he will lose his leverage to get bigger blocks which is what he wants and this is also the the argument of and there’s a lot of communities that are supposedly a active communities online that are we can call them some of them are trolls over they were genuine but there’s a lot of activity online for against segue for though as well see this is not reflected at all in the businesses which all support segue so why are they opposed to to segue well a segue this kind of a midnight is their only leverage it’s the only leverage they have right they’re not supposed to be using that leverage right is supposed to be a kind of a formality but they’re using it as leverage for other changes bigger blocks why did we want to grow blocks I don’t know maybe they want more Jeanette’s actions maybe they want to centralize bit quite a bit more who’s to say another another repost potential reason is AZ boost that’s very controversial easy boost is I’m going to deepen that but let’s just say that some miners are believed to have secretive messages that are rendered useless with the adventists sequence so kind of arena that she’s not necessarily cheating in those debates whether it’s really cheating or not but um some miners might have a secret advantage which kind of skews the game theory and that we we weren’t aware of before and we didn’t plan for that they would have a secret advantage that stick which would stop and that they have for example an amazing boost for you know supposed to give that was good and there’s genuine opposition by some people who think probably sure they’re genuine we’re gonna go a little bit faster so roll McNown basically choosing which bitcoin is the valid bitcoin and putting some value into that everybody almost everybody wants to say in on one chain and then people can fork off a bitcoin at any time they can do so when the balancers or without the balances it can for the code or their history but we’re fighting for the name of bitcoin and for the network effect of bitcoin the people that really don’t want segments to pass for example a Qualcomm whereas the cord artwork is before court so we can see that this is a battle for the network effect which is you know what it’s about in block chains generally so consensus failure is a governance failure it’s it’s it’s not good it’s really bad ether Fork was really bad a lot of people lost a lot of money recently in Canada and exchange lost twelve million dollars as a result of the fork because of problem is playing a bit quality theorem when you later so that’s something we really want to avoid so there are four proposals some of which will lead to a split so much which will not need to explain okay so this is the point where we get a little bit more into what’s gonna happen in the next few weeks anyway we have all this context well it 141 minor that can be a soft word for stuck with at 95% everybody wants that to happen everybody wants have to happen except a very very very very small minority the miners have about 60 blocks 50 40 bucks left at this time I think maybe not even is even too late right so this has been an opportunity for them to activate separate for a year and that they have about 30 blocks left to do that and if they don’t do that through the next 30 blocks which is pretty clear it’s not gonna happen then we won’t get second before August first that’s for sure v 91 it’s basically this is similar to make 141 but here R is less an activation threshold and as well see you later this whole thing is getting you know kind of ridiculous and complicated all the schemes that these people are doing not to use this one for you whenever very strange and very heavy but basically big 1/4 91 is a way for say with 2 X to be compatible with the existing signaling of 141 if you don’t know what that means welcome to the club bit 148 you ESS is the most important one the one we’re here today because it will happen it will happen on August 1st there’s no scenario in which the soft work does not happen that is a guarantee why because I at least me I will be using that client so I will be forking off of software so it will happen I might be the only one I’m not it will happen at this point in time so bit 148 when it does it’s not ok we’ll get to those later segue to X so this is not part of Bitcoin core although it’s based off of weakened core this is the coin core this is the core core this is a kind of a patch after said with 2x or at the same time was created segment 2 X is not Bitcoin core it’s another client and it’s basically a bundle of a soft fork and a hard fork at the same time it was rushed out as a response to the August 1st deadline arriving and it was nobody really is there’s no speculation as to why but it is a safe face stating move for a lot of people to kind of you know accept that separate is happening in a way but not accept that SEC what is happening by giving into what they disagreed on and when they oppose and Bitcoin ABC the we’ll get to that a little bit later which is the secrets a Bitcoin client prepared by a big main sponsor secrets it’s a think it’s open but in case the big 148 soft for come yeah so it’s yeah it’s a perfect client but they’re gonna use for secret mining so if 148 you a SF is successful or is nearing success one it’s and why in a minute that is my big name has decided to to fork that chain won’t once and why in just a moment so this is the fine line thanks to our environment we’re de marrón if you’re watching thank you very much for this so we are by 14 so today’s the is that the deadline for [Music] because we need to have a full of difficulty adjustment period of BIP 141 before it’s activated and the next difficulty adjustment period is like in 30 blocks and there won’t be a second one a full one before August 1st so that’s you know let’s forget that that’s that unfortunately that was the easy way for everyone so um the BTC one is the sec week to explain which is about by Jeff Karthik so this is kind of like a minor plus large business idea which is rejected by the entirety of the big more core team and which is rejected by a lot of users very badly although a lot of the big businesses kind of got together in a in a kind of Bilderberg meeting and decided to do that make that happen but it’s you know it’s a lot of effort but I you know so basically this business client needs to just start to be released tomorrow and we don’t have a lot of time because it needs to start tomorrow and then on on July 21st after they’ve had one week they’re supposed to implement 91 so start signaling basically before that’s 80% second thing and then potentially getting that locked in after two hundred and sixty nine blocks yeah and then getting that activated potentially we did segues after another three hundred and thirty six blocks sounds like six hundred blocks I think you’re sitting in that right and then okay so this is this is a if we get that before the first of August then there’s no chance play on August 1st and the deadline for this is on August 1st we activate bit 148 and what’s going to happen at that time just gonna what’s gonna happen on August 1st is that some some users are running a client which is called the user activates off for client and essentially what it does is that when we when we run this client we will be rejecting the blocks of miners that do not signal it 41 so miners are supposed to be signalling right now that they’re ready for a segment and this is the queue that we’ve programmed into Bitcoin that once 95 percent of the miners agree to segue this was the rule we all upgrade at the same time some of them are not sitting on their readiness even though we know they’re ready so all their blocks we’re going to consider them invalid we’re gonna orphan them so it’s like you know you go to the restaurants they want to become you know they would add meat to the menu yeah I’m not gonna I’m gonna think you should put meat in it you know or I you know I want something else and then if you don’t feed me what I’m being you’re for because the miners are paying the users are paying the miners with fees and inflation you know we just won’t accept your Brock we don’t want it it’s an economic boycotts that’s what it does it just says that if you just signal segments on your blog I will accept it so this is what’s that’s happening on August 1st is that everybody that has this client will start orphanage or rejecting the blocks by the miners so 8 point 48 was proposed by an anonymous according like would develop it while shoveling fry that’s it over here it allows users to require so it’s a tool that you can opt into which requires miners to signal their anus to implement psoriatic goodness and it doesn’t mean that they have to run segments it just means that they have to say that they’re technically able to do so miners are allowed still to mine on second thoughts and are only required to not mine non-standard Lots that’s in segue transactions so basically sure II don’t want segue for any reason just signal your readiness for it and don’t use it um so right so the rationale is that the miners work for the users we treat them with these and affections I just said and they are essentially providing a service for us and we want to be served that better.we users with our nose we validates the blogs and we checked if the rules are valid so big word footnotes and the users we are responsible for enforcing the rules dick 148 is only an activation method it’s not like sacred texts not like Bitcoin ABC is gonna see it’s basically a way to activate make 141 which is with contested by two years by the smartest people in the world I kid you not the team that work on segments is the greatest financial engineering effort probably have open-source development ever just Segway I may be paid for obviously once it so she did by himself miners are maliciously I believe so disclaimer this is starting to be my personal opinion now I believe the miners are being malicious enacting bit nine against the interest of the network and and to a degree which is previously unseen by an actor in Bitcoin so the degree to which they are jeopardizing the progress of McCord is really heavy and it is it not by the bulk or cut system you can’t coerce anybody into doing anything so it’s a peaceful way for us to stop paying certain miners until the signals that they are ready to feed us the blocks that we ask for so victory scenarios for a big one forty eight so what would it be a victory for us that are that are proposing or that are implementing and advocating for this change well you know if in the next few hours the miners at 8.40 one that’s a victory there’s no chance lit if miners block in segments to explains so if they lock in basically the big ninety one right and signal for fifth one forty one as a result because basically what’s funny is that the fifth ninety one is the same thing as that one forty eight in a way because miners that’s when you when you achieve this eighty percent signaling of bid ninety one you don’t get segments you start to orphan blonds that are not singling one for anyone so it’s this whole this whole thing is it’s really complicated for nothing this was really easy so if we do get segment before and everybody singling this anyway then it doesn’t matter you if you’re running anyways I’ve known and if this works and nothing happens it looks like if some miners go on the mid-14th chain after one hundred blocks because the miners cannot spend a block for 100 bucks after 100 blocks if a miner finds a bid 148 walk the tingles live and scenario would be that at an increasing rate the miners will start to mind the usf chain until we reach over 51% consistently up 60% there which would need which would lead to either no split or a quick rework we’ll get to that a quickly or of the legacy chain with some user loss of funds not the 148 users the ones that they have upgrade and we’re transacting as usual but ideally it’s fast a few hours and it’s not a huge deal a favorite victory so a victory for you for segue but to the detriment kind of like you know sliding your face I couldn’t your nose to spite your face kind of thing is that the BIP 1:48 chain guess gets the assistance 60% after a few these are a few weeks than a few hours and I’ll tell you what reorge means they’ll make more sense and in which case the legacy chain is reorg into the legacy chain as the people that are running bit more cord and not the us have changed so the people that just stayed on there on the old chain and didn’t upgrade after a few days there will be a reorg that means that as we’ll see there’s going to be severe loss of funds for a lot of users so that’s a very sad very sad victory indeed the failure scenarios actually go to the reorg right now again make more sense every organ is a chain a reorganization is when a Bitcoin client so the software that you’re running it discovers a new longest chain with valid rules so the rule in Bitcoin is that your client will always follow the longest solid chain but what happens if out of nowhere your client discovers a new longest valid chain well that’s because you know the SEC the usf chain if it gets longer because it’s a soft fork and the rules are stricter it is valid so if the big one from you chain get it’s it’s longer than the legacy chain then all of the clients can network I’m going to switch it over to this chain and all the transactions that happened on the legacy chain before so you know I’ll get this son very simple this is the legacy chain and then these miners starts building on top of the legacy chain but we on the 48 chain we start building some other blocks and this one gets always longer longer longer but at this point this one will get longer and all of this transaction history will disappear and this is a one-way deal that means that the 148th chain cannot this disappear only the legacy chain can disappear so this is a huge impact on obviously the game theory elements of this this protocol upgrade and this is what you need to fear the most when you interfere is you need to fear that you’ve transacted on this side and then it disappears after this is the worst scenario that can happen to you yeah so the box that contained your transactions that you saw confirms on your clients will disappear ergo your transaction will also disappear and that you lost that money so from a minor point of view I’ll go back a little bit yeah so a failure scenario is that users they don’t actively adopt bit point 48 I need their do businesses and miners and in that case the blocks would not confirmed there would be no miners it would be no economic activity and it would just die in that case most businesses like mine but would just say well we tried we failed we’ll try again and we’ll go back to the legacy chain when it gets it’s kind of an all-or-nothing scenario where this very interesting is that if the miners adopt tip 148 with less than 13 percent hash rates and right now the problem is we don’t know because miners have no way to signal the kiss signal pinpoint 48 but we don’t know exactly I think there’s like 1% now that are that are signaling or something but we might be surprised but if we get 13 percent of bit 148 miners because bit 1 bit point 48 only activates mid 141 and make 141 has a deadline on November 15th if we get lower than 13 percent hash rate just using math we know that because the difficulty adjustment is going to come in such a long time that we’re not going to be able to do it in time for November 15th so this is the magic number in which this just expires and it’s nothing it’s no longer good all right I meant to I meant to put here maybe 148 okay big 148 it activates and I’m sorry big 141 activates on the bit 148 chain before the deadline which is amazing which before November 15th but with no market support and you know first up maybe it was 15% of the miners that there’s no market support and the coin the chain has abandoned and you still have the big 148 points but there was nothing I mean that if you try to sell them a collection of I’d buy them for a few cents but no one will buy those clothes off of you another failure scenario is that okay so you can all see that the big problem is that if you’re on the legacy for a fork you’re a champ you’re a chain of a rework and if you’re on the us left side you’re a you have the risk that your coin is going to go to zero it’s not gonna have any value so–but main said well there’s a way we can change that change the dynamics is that if there’s a dip 1:48 some pork and the legacy chain is at risk of a rework of having their transactions appear we can hard fork that legacy chain to make a third Bitcoin the ABC Bitcoin the big name Bitcoin which is not at a risk of a reorg because it was hard forth specifically for this reason in that case the legacy chain would obviously just either disappear have a really low value we don’t know what happened but you know it would still be at risk of disappearing the big main you know Beijing minor fork and everybody’s is very that are their secret demining on the anyway they plan to do a lot of bad stuff on that on there but if I’m totally wrong and people like that they can go to that chain and they will not be at a risk of a New York so if you if you want to do that you can protect yourself that way if they go through with your plan and also as failure scenario is that if the miners they consistency attack the big 148 chain by basically creating empty blocks essentially just blocking everything from happening in that case you know making transactions they’re just work there’s a snow blocks on there so you know your blood change it’s not happening and in that case you abandoned myth 148 or the nuclear option is that I will say right now I personally do not condone this and I don’t consider that to be a viable option and I would not do that but it is an option is that if the Bitcoin ABC bit Mein Kampf attacks the pic 148 chain the big 148th ecosystem can decide to resist and push a change of perform work on that chain with a hard fork that would immediately render useless all of it mains miners and you could only mine a Bitcoin with another hashing algorithm which doesn’t work for anyone’s miners but this is true for all of the miners so all the miners would would lose their millions of dollars of investments that they invested in to secure the blockchain and it would be revocable e41 48 has not Bitcoin obviously would become an outpoint it would become some kind of like corn or something but that has a shared history with Bitcoin before the forum so from the miners point of view if we’re trying to be empathic here and we’re going over time I’m sorry everyone for the miners point of view this could be considered an attack because it doesn’t force anyone to do anything but it does put you in front of an ultimatum and people are boycotting your product for you know for four reasons so I mean it is it can be construed as as an attack although that’s how Bitcoin works some miners may want to take the opportunity and profit because writers compete with each other miners are users miners are not it’s abstract I’m a miner you know told the miner what’s trying to be a my hair so we’re all you know those miners but you know some miners might want to you know take the opportunity to upset the balance of power they’ve always been on the losing in and big Mane’s always been on the win again so they might want to you know switch over to us F right away you know what if a few big money pools that you know called each other and said you know let’s do this you know this it’s a big big lose some money and let’s make some money at the same time so miners can choose to really fork at the legacy chain and we can choose to attack the UN subsidy have a lot of options everybody has a lot moment so change spread scenarios and strategies very big disclaimer I am just someone which is researching this just like you guys so this is not a recommendation none of this is a recommendation by the way there is enforcement of this thing by myself but I don’t recommend necessarily based on my recommendation research but okay so graphical cribs first things first is get all the big coins on the one in control and where you all we and we’re only you have access with every keys this is more important than ever because if your bitcoins are in coinbase coinbase will decide for you what happens make sure you are able to detect the chain that you’re on that you have access to some tools that can tell you if you receive that bit point for a Bitcoin or legacy Bitcoin and it just so happens I don’t want don’t work for you guys with the help of the magnificent roses within which is somewhere in this room it should read your hand know ounces bananas a local developer he prepare for us so if you go to USF explore a super calm this is a you ESF Bitcoin buckets for will only detect transactions on this chain and not on the legacy chain and you can use a regular block explored for that you can choose to connect to a specific node obviously run your will note if you can but you can choose to connect to a specific note that you trust will remain on the USS chain so the best way to know for example I’m running two notes and like I see in a USF no I’m running in electro server which if you have electrum all you have to do is go into settings you can connect to my server if you trust me what you’ll see is this thing you’ll see a BGP signed message from me saying I promise pinkie swear to leave it on the on the USF chain although this is not standard practice you’ll want to trust me but if you can’t run your own server and you want to use electrum I mean you can if you want to trust me this is a sign message for me you can connect you can use your regular wallets like samurai bread wallet a Confederate connect to an IP know just like that IP of the knowns that you know is running us F for yourself or buddy of yours so this is like if you have air bits you can select my electrum server in air bits and then you will be on the usf change so collection plus dr. Shakur calm if you look at let’s just run your note if you really want to be short so these are practical tips so strategies risk averse for your coins do nothing if you hold your coins and you do nothing you do not transact while there is a chain split you have no chance to lose at least you know one of the two chains the wedding science big ones you will won the one once one side wins you will have your balance intact on that side so wait to see where the wind blows wait for this for the chain split to stop for there to be a rework or for what to go to zero but be aware that there will always be a New York risk forever unless there’s a heart fork on the legacy chain so really if you hold your coins you do not transact your good so if you want to just wait you know wait this one out there’s a business in Canada called coin cards and they said we haven’t had a vacation in years taking a vacation August 1st your week no problem with that mother rate strategy moderate risk you can split your coins when the Shan occurs when the shin splint occurs and you can sell your legacy bitcoins the ones that you had before for fiat and keep that in and this is always depending on the price of the coin right this change is going to the price Bitcoin but you can sell your bitcoins for fiat and keep them and keep them in Fiat right so if you had 10 grand wants at the coin say the price doesn’t drop it will but they say it doesn’t go up that much you have 9 grand worth of Bitcoin or whatever get that net grant and you just keep it at yet but you keep the bit 148 coins because it basically got them for free you don’t trans like or don’t do anything you wait to see what happens and either you buy back the legacy chain if it wins with the fat you have doubled on you basically double it bitcoins then you double down with the few gods and you buy the they won’t for a bit or is it another official Bitcoin however be aware that if one site losing in one side winning it will happen in a snowballing effect so the price at which you can sell your legacy coin basically if there’s a rework about that happen the price of the legacy coin will gradually tend towards zero as inevitably the transactions happen to disappear as less and less people who want to buy it unless they don’t know what’s happening or they just like you have to keep your beak on because for anything we do they go yeah so you can opt to give the exchange the choice to decide how they manage the stage for you but you need to make sure that the exchange has a policy which specifically says how they was planned and like how it’s gonna work because if you don’t have a specific policy before they’re just gonna choose whatever is worse between you know reputational loss and just closing down if they lose your money so you can’t do that you can leave them on an exchange but in that case you are you know you have a less chance to screw up but but you’re you’re powerless as to take changes decision so this is a way to – this is a way to hide yourself essentially and possibly to profit so there’s a very risky options so you can try to sell your Bitcoin 40 coins to some company like bails bills will be accepting pin point 48 points one of the business that would do that you can spend only your big 148 coins convinced it’s never going to work them them to someone you think is an idiot and you can buy some legacy coins with the big 140 coins that you just made and then you can double your legacy coins which are still at risk of the reorg or you can keep the skinhead yourself of course if you’re risk yourself you’re going all-in you sell your liquor see coin you go all-in on 148 and you risk the value of every one of your assets to go to zero but you have a more chance to basically buy cheap it 148 coins that will become the real Bitcoin this is the way it would make the most money if you were going to be very very risky but also you know you were everything went to zero I personally will be using probably the moderate strategy this is not an endorsement this is just a statement how to split the coins there’s not a lot of tools available actually there’s minimal amount tools available you can probably do it if with Bitcoin usf and Bitcoin core running hopefully electrum which is the best wallets in the space the best light wallet space they’re supposed to in the 2.9 release which is called independence for a reason you will have the ability to specifically select on which chain you’re transacting automatically because normally what you need to do is need to commit 1.1 blockchain to avoid a replay attack because if you spend for example on the legacy chain that transaction will be replayed on any chain where that transaction is you know relayed so you want to stop this replay prediction I know this is a bit complicated but basically if you spend the coins you can basically send on both chains at the same time and you know you don’t want to do that because you want to you know at least get a chance to you know to choose which one you’re sending so basically if you chain if you send a transaction on the 148th chain it will only be seen on the big 148 chain because into yourself right and in that case because the legacy chain will not have seen it won’t be in that block chain so your bitcoins your pin point for a bit coins could be consecrated once they’re confirmed on that chain with this regretted confirmation so this is very hard and the stuff there’s enough and I haven’t checked it out yet so you can email me if you want to do this I will be doing one room session where we will be spinning with coins but I can’t do that I’m very sorry wasn’t likelihood it’s gonna happen extremely hard to gauge a lot of people are very loudly supporting like myself a lot of people are quiet so we don’t know it’s kind of a poker game and we’re the last river card and we’ve been looking for a long time and now it’s just revealed there’s nothing else than reveal for sure lot of transactions will happen on electron one a bit more before you change that will happen because if you’re using electro and you’re not scare –fill you might be red my note transaction on a bit more for a chain if you don’t want to treasure offers the option seminar wallet offers the option by the fault I think so you seminar wallet to make sure you are aware you’re using the Bitcoin for you chain by default sorry some of this is incorrect people should check that and there’s almost a thousand notes that are running Bitcoin USF this is a list of developers that are supporting bit more 48 which then passed it 140 everyone for and this is the point 48 so these are big core core developer so second best in terms of consensus and this is their amount of developers which are accepting the segment UNIX proposal no and these are some of the businesses that are accepting or not one of these proposals so there’s not a lot of businesses that are signed up for this there’s a lot of developers that are send the first so this is the amount of notes signaling USF so as you can see now thousand bills so this meetup is sponsored by my starter bill so Bill’s we will be accepting Bitcoin for eight coins only after the chain split we will not be accepting your coins that are vulnerable to York I don’t want them I may offer to buy them and a discounted price for example 10% of the price of Bitcoin at the time and I reserve the right to stop accepting bit more for you cause any time which is what any exchange should do to you know and in a losing chain if if it’s worth what it’s at the moment don’t send this legacy bitcoins I still haven’t decided if I’m going to be buying them off at a fix like 10% of the Bitcoin price rate or just keep them or refund them but don’t send me legacy bitcoins please I want to deal with that and if the usf chain does not work we will abandon it hopefully would be the last ones to abandon it since we take a lot in employing this and will try again with bit 149 which is another and yet another proposal in the future so on this it’s been almost an hour and a half I’m really sorry we went over time this was educational or informational we will take some questions but questions only about this presentation please so about scaling and Bitcoin you NSF and so forth so after all had you doing [Music] thank you guys for attention so we’re gonna have maybe a 10-minute you a this was the bunker just for it so we have about 50 or 400 people online so we might take actually if you guys want to get involved maybe to ask your question and maybe or something yeah yeah let’s just yeah there so – two questions to three questions to three questions this is a time a quick question is for wallet such as mycelium is that option available to choose which I I don’t think so I think I should check that usually some the settings you can use air bits you can use samurai wallet to choose your note Green address you can choose your note read wallet now just just made it available a few of those ones and it’s really just just switch your balance from Maya cilium to another one if you want to select it’s not a problem Jaime well not even electrum just just hold your private keys and don’t transact until the chain splits has been resolved or until you’re sufficiently confident that one shade has no chance ever a big one for each a chain has no chance whatsoever of getting New York I don’t wanna get specific times but you know after a week or two like all of this should have blown over and if it hasn’t then we’re in from something really nasty weather or hard for weather really nice New York or something like that so you know there’s no but like there’s not like date you just wait for the split to be over or like just I’ll probably be announcing you know what I’m doing at some point it won’t be obvious at some point yeah oh great perfect thank you very much so check the coin morgue for the network status to be aware of what’s going on yes sir so that’s a great question if you want to support us F I suggest you if you are able to running an electro server that’s great yeah you can run a No you get rid of all no run a full note that’s the minimum run a full note that you’re using because if you’re not using that full node and it’s just standing there reeling that’s so good so good but you’re not getting the full benefits you can go right to your exchange and as them what their policy is if you support it tell them to list at least both so people can speculate that Myers can make a good decision on which came to follow right because we need to have the two prices competing for miners to be able to make their decision that’s pretty much it on Twitter on social media and promote it and say that just tell people that you’re going to do it because we don’t know who’s doing it until that neighbor bill so if we put ourselves out there we give confidence to other people know someone’s ever seen that video where there’s a guy dancing alone for like a minute and then people start to dance around him and that’s around him well this is what happening right so he should go out there and start dancing and show people that you know you’re with the flow and other people will join and forcing me 104 not because so you can go to USS of CO or the concept of work is okay yes he goes yeah okay the last question guys yes do you think excellent question and we still don’t know what’s going to happen because a lot of this depends on whether or not the segment to X camp delivers the code in time and as it m works and it’s tested for a week and then 80% of people run that the loggers run that they activate the bit 141 no actually 91 sorry and if that happens there’s no chance with that’s the wild card yeah yeah well no today’s an event if we’re going to be a split or knots for sure all right so if 91 is not logged in by July 29 there will be a chance if anyone is not activated by July 29th has been locked in all right because they already signalling for a bit point 41 okay correct yes thank you absolutely so needs to be locked in so that takes two weeks to log in and there is July 13th but there will be a soft pork for sure James but we still don’t you have a question no my question just um hi my name is Tom bass I just was streamed live on my youtube channel so if you want to rewatch this presentation I don’t know if you can pull up the YouTube channel to show people but otherwise what putting on the meetup link yeah well put on a meet-up link tone based on t-bone and Eve last name da YS if you just google me you’ll find my YouTube channel and this video will be up there and thank you all for coming out I drove up here from New York it was great setup for me for the middle wonderful picture guys I know that most long as I don’t want to make [Music]
]]>Blockchain for Dummies Ebook by IBMhttp://howtoearnbitcoins.com/blockchain-for-dummies-ebook-by-ibm/
Thu, 08 Jun 2017 22:10:08 +0000http://howtoearnbitcoins.com/?p=1135

E-Book: Blockchain for Dummies

Everything you need to know about what blockchain is, how it works, and how you can get started building a blockchain network today.

]]>Bitconnect Review 2017 Lending Videohttp://howtoearnbitcoins.com/bitconnect-review-2017-lending-video/
Thu, 08 Jun 2017 00:34:13 +0000http://howtoearnbitcoins.com/?p=1120I did a quick and dirty video on Bitconnect and how I am currently using it to make more Bitcoin.

Watch it here and if you’d like to help me out for making this quick video review on Bitconnect Lending please use my affiliate link mentioned in the video.

]]>Introduction To Bitcoinshttp://howtoearnbitcoins.com/introduction-to-bitcoins/
http://howtoearnbitcoins.com/introduction-to-bitcoins/#respondMon, 07 Jul 2014 04:40:03 +0000http://www.plrblogs.com/bitcoin/bitcoin-faqs/introduction-to-bitcoinsBitcoins are a digital currency created in 2001 by Satoshi Nakamoto. It is based on open source software and P2P networks with no central authority or issuers. The coins are saved on your computer in a wallet file or in a third party wallet. They can be exchanged between anyone with a Bitcoins address. The database of transactions is spread across a peer to peer network. They also use digital signatures to ensure they are only spent once and by the person who owns them.

They are created by a process known as Bitcoin mining. There is where you use CPU power on your computer in order to generate them. This also generates the encryption keys which keep bit coins secure. By generating the encryption you are rewarded with Bitcoins for your effort.

While the transactions are public the transactions themselves are psudeononymous. Many people who are concerned about privacy like to use Bitcoins for this reason.

They are bought and sold through exchange sites. There they can be exchanged into traditional currencies like the Dollar or Euro or for virtual world currencies like the Linden dollar.

Bitcoins have no central control so they cannot be controlled by any government or authority. There are also no chargebacks.

There is a limit to how many can be created. There can be 21 million Bitcoins in total. This is to avoid the currency from becoming worthless from overproduction like fiat money. Diminishing geometric expansion combined with the expansion of Bitcoins provides an incentive for early adopters.

There are some scenarios of for failure that could happen to Bitcoins. These include a currency devaluation, a declining user base and a global government crackdown on the software and exchanges.

In order to get started to generate and trade Bitcoins you have to download and install what is called a Bitcoin client to your computer. This will give you the Bitcoin wallet and address. When people want to pay you give them your Bitcoin address and they send it to there.

If you want to make Bitcoins you are going to have to mine them. You do that by giving up your processing power to the Bitcoin network so it can encrypt transactions. You can create one block every ten minutes. Every block is 50 Bitcoins. You can use your computer to generate them when you are not using it or create mining rigs dedicated for that purpose.

Bitcoins are a true 21st century currency. If you want to see how currencies of the future will be like download the Bitcoin client and start mining and trading today.

]]>http://howtoearnbitcoins.com/introduction-to-bitcoins/feed/0Where To Buy Bitcoins From Reliable Bitcoin Exchangeshttp://howtoearnbitcoins.com/where-to-buy-bitcoins-from-reliable-bitcoin-exchanges/
http://howtoearnbitcoins.com/where-to-buy-bitcoins-from-reliable-bitcoin-exchanges/#respondFri, 04 Jul 2014 02:59:55 +0000http://www.plrblogs.com/bitcoin/bitcoin-faqs/where-to-buy-bitcoins-from-reliable-bitcoin-exchangesHere is an overview/review of Coinbase as of the date of this article:

There are so many Bitcoin exchanges and sources like BitPay, BitInstant, Blockchain.info, Bitstamp, and Coinbase, etc. you need to finalize on the one that is the most reliable and is keeping up to date with local, state and federal laws. These are some leading names in the Bitcoin economy that have made their special place for their services to customers.

Nonetheless, available for people who want to invest or trade in BTC, there are a few things you should know before you get started and buy Bitcoin. You’ll want to select a Bitcoin exchange or brokerage firm that brings you Bitcoins without much hassle.

Bitcoin Exchanges and Bitcoin Brokerage Firms

Bitcoin may not be easily available as there are certain restrictions in the US and several other countries on the amount you can buy. Thus, if you are able to objectively evaluate a few things before deciding on one, it will be better for you. You may visit the websites that provide you easy process and user-friendly Bitcoin buying and selling. Here you can pay in your currency and buy Bitcoin.

You need to consider the liquidity that Bitcoin exchange has as Bitcoin is traded on a market where people are both looking to purchase or sell the currency, and it is important for you to know this. Additionally, it is liquidity that helps you understand about the genuineness of the Bitcoin exchange i.e. the more buyers and sellers there is the more liquidity that Bitcoin exchange has. Thus, look for a Bitcoin exchange that has a large number of customers.

For instance, you can also buy Bitcoin from Coinbase, a popular Bitcoin exchange that offers services for only US customers. Thus, if you are in the US, you can definitely benefit from this organization as it has several rich features e.g. it provides an easy process of Bitcoin buying which is quite important for first timers.

This is how I got started in the Bitcoin economy. Coinbase was the easiest and most up to date exchange at the time I signed up with them. Initially, they will only allow you to purchase a small amount with your credit card and a higher amount if you allow them to debit from your bank account using ACH. Over time they will increase the amounts you can buy every week. They also cap the amount you can withdraw per week but for most people that amount is well above how much they may end up withdrawing. Of course with how fast Bitcoin has been growing in value we could end up seeing huge gains in a very short period of time. But that’s speculation and you should take if for what it is worth. It’s also worth noting that you can purchase Litecoin and Ethereum as well which I have done many times and transferred it to my cold storage wallet.

Another great thing about Coinbase is their promotion. According to Coinbase from their referral program page:

“Using digital currency is more fun with friends! You can invite your friends by sharing the provided link. Once your friend buys or sells $100 of digital currency or more, you will both get $10 of free bitcoin.”

Go ahead and click my referral link below, spend $100 or more and we’ll both get $10 in Bitcoin for free from Coinbase: